The Bucharest University of Economic Studies [623842]

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The Bucharest University of Economic Studies
Faculty of Business and Tourism

DIAMONDS

PhD Lecturer Irina Maiorescu Aldea Alexandra
Group 321

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Content
Introduction………………………………………………………..…page 3
Characteristics of diamonds………………………………………….page 4
a. Cut…………………………………………………………page 4
b. Color………………………………………………………..page 4
c. Clarity…………………………………………………… ….page 5
d. Carat……………………………………………………….. .page 5

International market of diamonds…………………………………… .page 5 -6

Romanian market of diamonds……………………………………… .page 7

Mining Diamonds…………………………………………………… .page 7 -9

The process of extracting diamonds………………………………….page 9 -10

The Future…………………………………………………………….page 10

15 Amazing facts about diamonds……………………………………page 10 -12

Bibliography………………………………………………………….page 13

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Introduction
A diamond is a particularly form of carbon. At a molecular level, the type of carbon used
in diamond formation is identical to that which forms graphite or coal, however science has
debunked the theory of coal being the first stage of a diamond – the carbon used to form these
gemstones i s in fact far, far older than the plant -based types used for coal.
How are diamonds formed?
The precise process of diamond formation is not perfectly determined, because they need
thousands of years to form the stone and that makes it impossible to follow with absolute
accuracy. What is certain is that high temperatures and vast amounts of pressure are required,
both of which can only be achieved at a position far under the ground, calculated to be at least 90
miles deep. (Vashi, 2013)
Important dates in h istory:
 Diamonds were discovered in the year 800 B.C in India.
 In 327 B.C. Alexander the Great brings the first diamonds from India to Europe.
 In 1074 is one of the first examples of diamond jewelry when a Hungarian
queen's crown, is created .
 In 1375 t he Point Cut was developed which follows the natural shape of a raw
diamond, reducing waste in the diamond cutting process.
 In 1701 t he colorless Regent diamond was discovered by a slave in the Parteal
Mines on the Kistna River .
 In 1837 t he Tiffany Diamond C ompany was founded by Charles Lewis Tiffany .
 In 1853 t he Star of the South was found in the Bagagem Diamond Mines in
Brazil .
 In 1869 t he Star of South Africa, a 47.69 -carat old style pear -shaped diamond,
was found in South Africa .
 In 1895 t he Jubilee Diamo nd, a colorless, cushion -shaped diamond, was found in
the Jagersfontein Mine . (Hard as rocks , 2015)

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Characteristics of diamonds
The four CS of diamonds:
 Cut has the greatest effect on a diamond’s beauty. In determining the quality of
the cut, the diamond grader evaluates the cutter’s skill in the fashioning of the
diamond. The more precise the cut, the more captivating the diamond is to the
eye.

Figure 1. The anatomy of a diamond. Available at:
http://yourdiamondteacher.com/diamond -grading/symmetry/ [Acce ssed at 3.01.2017]

 Color Gem -quality diamonds occur in many hues. In the range from colorless
to light yellow or light brown. Colorless diamonds are the rarest. Other natural
colors (blue, red, pink for example) are known as "fancy‖, and their color
gradi ng is different than from white colorless diamonds.

Figure 2. Color hues. Available at:
https://www.petradiamonds.com/our -industry/about -diamonds/coloured -diamonds/
[Accessed at 3.01.2017]

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 Clarity – diamonds can have internal characteristics known as inclusions or
external characteristics known as blemishes. Diamonds without i nclusions or
blemishes are rare; however, most characteristics can only be seen with
magnification.

Figure 3. Diamond clarity chart. Available at:
http://aginewyork.com/diamond -clarity -education.php [Accessed at 3.01.2017]

 The carat is the diamond’s physical weight measured in metric carats. One
carat equals 1/5 gram and is subdivided into 100 points. Carat weight is the
most objective grade of the 4Cs. (4CS of diamonds, 2016)

Figure 4. Carat scale of diamonds. Available at:
http://www.heartsonfire.com/guidance/understanding -quality/carat -weight.aspx
[Accessed at 3.01.2017]

International market of diamonds
127 million carats of diamonds – around 25.4 thousand kilograms – were estimated to
have been produced from mines worldwide in 2015. Major producing count ries include
Australia, the Democratic Republic of Congo, Botswana, South Africa, and Russia. Worldwide
reserves are estimated to be some 600 million carats. Australia has the largest reserves, estimated
at 220 million carats. The diamond mining industry i s largely dominated by a hand -full of

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companies. The top three companies – Alrosa from Russia, De Beers from Luxembourg, and
British -Australian Rio Tinto – account for more than 60 percent of global diamond mine
production, and more than 70 percent of glob al diamond sales. Mined diamonds are mostly
processed in and sold via the major global diamond centers: Antwerp, Dubai, New York, Hong
Kong, Mumbai, and Tel -Aviv. In contrast to precious metals, there is no universal market price
per gram of diamonds. Neve rtheless, global diamond prices have increased more than tenfold
since 1960 up to the current prices in 2015. (Statista, 2015)

Table 1. Main producing countries

Source: http://www.debeersgroup.com/en/reports/insight/insight –
reports/insight -report -2015/rough -diamond -pipeline.html
Table 2. Main brands of diamonds

Source: http://diamondshades.com/statistics -diamond -production -and-
supply/

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Romanian market of diamonds
Let us start with the jewelry market. The overall monthly jewel production stands at half
a ton, 50% of which being gold, and the remaining silver. The market’s annual turnover amounts
to more than 350 million Euro. According to the employers’ association, the annual growth rate
of sales ranges between 10% and 20%. Also, 50 kilos of diamonds sell in Romania a month, and
they are rated brilliants after polishing. There are some about 3,200 firms in Romania with more
than 35, 000 employees working in jewelry manufacturing and marketing. (Old, 2008)
Mining diamonds
There are four ways of extracting diamonds:
 One pit -mining
 Underground mining
 Alluvial mining
 Marine mining
One pit -mining involves removing the layers of sand and rock found just above the
kimberlite. Once exposed, the ore in the pit is broken up by blasting. A single blast can break
approx. 3,000 tonnes of ore. Once the ore is broken, excavators load the ore into haul truc ks and
transport it to a primary ore crusher where the diamond extracting process begins. The
Kimberley Big Hole is an example of open -pit mining.

Figure 5. Kimberley Big Hole. Available at:
https://commons.wikimedia.org/wiki/File:Kimberley_Big_Hole.jpg [Accessed at 3.01.2017]
In underground mining, miners tunnel through Earth’s crust to the kimberlite pipe.
Tunnels are constructed in two levels, one above the other with funn els built to connect the two.

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Mining begins on the top level by blasting ore, which falls through the funnels and collects on
the second tunnel. Here, loaders collect the broken ore and bring back to the surface for
processing.

Figure 6. Underground mini ng. Available at: http://www.ultimate -engagement -ring-
guide.com/famous -diamond -mines.html [Accessed at 3.01.2017]
Over thousands of years, the kimberlite pipe that reaches the Earth’s surface is eroded
and weathered by wind, rain, rivers and streams.The eroded kimberlite bears rough diamonds,
which are carried downstream. The first diamonds discovered in South Africa were from alluvial
deposits. Today, ind ustrial alluvial mining involves building a large wall to collect the water in
one area. Diamonds are often found in the gravel layer, which collects under layers of other
material, such as mud, clay and underwater plant -life. Once the gravel is collected, it is hauled to
the surface and prepared for processing.

Figure 7. Alluvial mining. Available at:
http://www.articlesfour.appspot.com/article/diamond -mining -process [Acce ssed at 3.01.2017]

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Marine mining involves extracting diamonds from the seabed, hundreds of meters under
water. The earliest form of marine mining entailed shore diving, where a swimmer would collect
diamond bearing gravel from the shallow seabed. Today tec hnology has evolved to specialised
ships that mine for diamonds deep out at sea. These specialised ships use a powerful crawler that
sucks gravel on the seabed up through flexible hoses/pipes. Alternatively, they use a large scale
drill mounted to the ship to excavate diamonds. The coast of Namibia is the richest known
source of marine diamond deposits which account for approximately 64% of Namibia’s total
diamond production. (Cape Town Diamond Museum)

Figure 8. Marine mining. Available at:
http://www.articlesfour.appspot.com/article/diamond -mining -process [Accessed at 3.01.2017]
The process of extracting diamonds
Diamonds are recovered from ore in 5 stages:
Stage 1 – Crushing. Once the diamond bearing ore and gravel is collected, it is
transported to a primary crusher. The primary crusher is responsible for reducing the size of the
ore into smaller, more manageable pieces or chucks measu ring no larger than 150mm. A
secondary crusher, known as a roll -crusher, may also be used to reduce the size of the ore even
further.
Stage 2 – Scrubbing . In this stage, the ore are scrubbed to remove loose excess material
and is screened. Material smaller than 1.5mm is discarded because it is too costly to extract
diamonds from such a small piece of ore.

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Stage 3 – Cyclonic separation plant. During this stage the diamond bearing ore is mixed
with a solution of ferrosilicon powder and water, which is measured to a specific relative density.
This solution is fed into a cyclone, which tumbles the material and forces a separation. Materials
with a high density sink to the bottom, which results in a layer of diamond rich concentrate.
Stage 4 – Recovery. Here, the diamond rich concentrate is put through a series or
processes involving magnetic susceptibility, X -ray luminescence and crystallographic laser
fluorescence that are calculated based on the specific properties of diamonds. These processes
are design ed to separate the rough diamond from any other heavy density materials collected by
the cyclonic separation plant.
Stage 5 – Cleaned, weighed and packaged. The diamonds collected in the recovery
process are cleaned in an acid solution, washed, weighed an d packaged in sealed containers for
transport. In accordance with the Kimberley process, these containers are sealed with a tamper
resistant seal, numbered on site, and a certificate of origin is issued . (Cape Town Diamond
Museum)
The Future
Diamonds are a finite resource. The fate of Indian diamonds is a good example of what
the future might hold for the South African diamond -mining industry. From the first discovery of
the gems in India until relatively r ecently, it is thought that over 12 million carats originated
from India. By the mid -20th century, the resources were nearly depleted, and India was
producing only about 100 carats annually. Diamonds will continue to be used in industry and
high-technology enterprises, but synthetically produced facsimiles —first manufactured in
1953 —may accomplish some of the tasks originally the exclusive province of the real stone.
These "manufactured" gems have the same properties of hardness and durability, and while th ey
will never be as popular as the real diamond for adomment purposes, they are well suited for
industrial applications. (Made How, 2009)
15 Amazing facts about diamonds
1. The ancient Romans and Greeks believed that diamonds were tears cried by the god s
or splinters from falling stars, and Romans believed that Cupid’s arrows were tipped

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with diamonds (perhaps the earliest association between diamonds and romantic
love).
2. Diamonds are billions of years old —in some cases more than three billion years old.
3. Diamonds form about 100 miles below ground and have been carried to the earth’s
surface by deep volcanic eruptions.
4. Diamonds are made of a single element —they’re nearly 100% carbon. Under the
immense heat and pressure far below the earth’s surface, the car bon atoms bond in a
unique way that results in diamonds’ beautiful and rare crystalline structure.
5. The word diamond derives from the Greek word ―adamas,‖ which means invincible
or indestructible.
6. Diamonds are the very hardest natural substance. The only th ing that can scratch a
diamond is another diamond.
7. Diamonds have been valued and coveted for thousands of years. There is evidence
that diamonds were being collected and traded in India as early as the fourth century
BC. In the first century AD, the Roman naturalist Pliny is quoted as having said,
―Diamond is the most valuable, not only of precious stones, but of all things in this
world.‖
8. Ancient Hindus used diamonds in the eyes of devotional statues, and believed that a
diamond could protect its wearer fr om danger.
9. Many ancient cultures believed that diamonds gave the wearer strength and courage
during battle, and some kings wore diamonds on their armor as they rode into battle.
10. During the Middle Ages diamonds were thought to have healing properties able t o
cure ailments ranging from fatigue to mental illness.
11. The countries that are the main sources of diamonds have changed over time. India
was the world’s original source of diamonds, beginning in the 1400s when Indian
diamonds began to be sold in Venice an d other European trade centers. Then in the
1700s India’s diamond supplies declined and Brazil became the world’s major source
of diamonds, until the late 1800s when a huge diamond reserve was discovered in
South Africa. Today, diamonds are mined in many parts of the world. All of Brilliant
Earth’s diamonds originate from mines in Canada, Botswana, Namibia, and Russia.

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12. The largest diamond ever discovered was called the Cullinan diamond, and weighed
in at an amazing 3106 carats, or 1.33 pounds. Discovered i n 1905 in South Africa, the
mine’s owner and the South African leaders gave the diamond to King Edward. The
Cullinan was eventually cut into nine large diamonds and 100 smaller ones, and the
three largest of these are on display in the Tower of London as p art of the crown
jewels.
13. The first known use of a diamond engagement ring took place in 1477, when
Archduke Maxmillian of Austria gave Mary of Burgundy a gold ring featuring an M
spelled out in diamonds.
14. Lab created diamonds display the same chemical struc ture and physical properties as
diamonds mined from the earth. Even professional gemologists can’t tell the
difference between lab created and mined diamonds without extensive testing using
specialized equipment. Brilliant Earth carries a wide selection of lab created
diamonds.
15. The most mind -blowing diamond facts of all: Scientists have discovered a planet that
they believe is composed mostly of carbon, and is one -third pure diamond!
Discovered in 2004, the planet orbits a nearby star in the Milky Way, and is named
―55 Cancri e‖ (which, in our opinion, is not a sufficiently glamorous name for such an
extraordinary planet). Perhaps even more amazing, scientists have discovered a star
that is essentially a diamond of ten billion trillion trillion carats. The y named the star
Lucy after the Beatles song ―Lucy in the Sky with Diamonds.‖ (Brilliant Earth, 2016)

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Bibliography

1. Vanish, 2013. All about diamonds. [online] Available at:
https://www.vashi.com/guidance -centre/learn -about -diamonds/diamond -facts/ [Accessed at
3.01.2017]
2. Hard as rocks, 2015. History of diamonds. [online] Available at:
http://www.hardasrocks.info/history -of-diamonds.htm [Accessed at 3.01.2017]
3. American Gem society, 2016. 4CS of diamonds. [online] Available at:
https://www.americangemsociety.org/en/4cs [Accessed at 3.01.2017]
4. Statista, 2015. Statistics and facts about the global diamond industry. [online]
Available at: https://www.statista.com/topics/1704/diamond -industry/ [Accessed at 3.01.2017]
5. Old, 2008. The luxury product market in Romania 28/10/2008. [online] Available at:
http://old.rri.ro/arh -art.shtml?lang=1&sec=10&art=15966 [Accessed at 3.01.2017]
6. Cape Town Diamond Museum. Diamond Mining. [online] Available at:
http://ww w.capetowndiamondmuseum.org/about -diamonds/diamond -mining/ [Accessed at
3.01.2017]
7. Made How, 2009. Diamond. [online] Available at: http://www.madehow.com/Volume –
2/Diamond.html [Accessed at 3.01.2017]
8. Brilliant Earth, 2016. 15 Amazing facts about diamonds. Available at:
http://www.brilliantearth.com/news/15 -amazing -facts -about -diamonds / [Accessed at 3.01.20 16]